99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB1587

 

Introduced 2/20/2015, by Sen. Mattie Hunter

 

SYNOPSIS AS INTRODUCED:
 
40 ILCS 5/17-128.1 new

    Amends the Chicago Teacher Article of the Illinois Pension Code. Provides that the Chicago Board of Education shall levy a property tax annually at a rate that will produce an amount equal to the amount of member contributions to the Fund during the fiscal year 2 years prior to the year for which the tax is levied, subject to a maximum rate of .26%. Provides that the Board of Education shall use the proceeds of the tax for the purpose of making employer contributions to the Chicago Teachers' Pension Fund. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY
PENSION IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT in relation to public employee benefits.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Pension Code is amended by adding
5Section 17-128.1 as follows:
 
6    (40 ILCS 5/17-128.1 new)
7    Sec. 17-128.1. Tax Levy. Contribution from taxes. The Board
8of Education shall levy a tax annually at a rate on the dollar
9of the value, as equalized or assessed by the Department of
10Revenue, of all taxable property in the City, which, when
11extended, will produce the following sums: for the fiscal and
12school year 2016 and each subsequent year, an amount equal to
13the amount of member contributions during the fiscal and school
14year 2 years prior to the year for which the annual applicable
15tax is levied; provided, however that the tax shall be levied
16at a rate not to exceed .26% upon the equalized assessed value
17of all taxable property in the City, based on the Board of
18Education's estimate of that value for the year for which the
19tax is levied.
20    As used in this Section, "member contributions" means and
21includes all contributions paid into the Fund by members or
22made on behalf of members by the Board of Education for service
23retirement and disability retirement pensions, for survivors'

 

 

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1and children's pensions, and for automatic annual increases in
2pensions; provided, however, that any member contributions
3that are made by the Board of Education on behalf of its
4employees shall be treated as member contributions for purposes
5of this Section for the fiscal year for which the Board of
6Education incurred the obligation to make such contributions.
7    Proceeds of this tax shall be used by the Board of
8Education for the purpose of making employer contributions to
9the Fund under Section 17-129. This tax shall be known as the
10Public School Teachers' Pension and Retirement Fund and Pension
11Contribution Tax.
 
12    Section 99. Effective date. This Act takes effect upon
13becoming law.